Natural rubber (NR) prices have registered a good start in the beginning of 2017 with an average 10% growth across key NR markets, in spite of the price decline to US$1.00 per kilogram during early period last year.
Throughout January 2017, the rubber market has improved and supported by favourable market fundamental in supply-demand and other external factors. Supply of NR by ANRPC member countries have declined with a negative annual growth at 8.4%. The tight supply was attributed to production disruption in southern Thailand, as major producing provinces were badly hit by severe floods during January 2017 and the commencement of early wintering season in major NR producing countries. Consumption of NR had witnessed a slowdown to 572,000 tonnes compared to 653,000 tonnes recorded in January 2016, mainly due to low economy activities from Chinese community in conjunction with Lunar New Year celebration.
The notable uptrend of NR prices at prevailing rates was also attributed to the Japanese yen devaluation against US dollar and improved world economy outlook by IMF based on its World Economic Outlook released in January 2017.
This issue of Natural Rubber Trends and Statistics presents supply and demand for natural rubber during the period up to January 2017 and anticipated figures of the year 2017 covering all ANRPC member countries. This publication also provides a close picture of current developments in natural rubber market and a short-term outlook.
Dr. Nguyen Ngoc Bich